can any one explian
who is nominated bank and role of nominated bank
nominated bank is bank nominated by issuing bank that docs shld be forwarded to us through bank which we nominate anything loke this...
How to become to rich ? AUTOMATED FOREX SYSTEM
YOU OPEN ACCOUNT AND ADD A SIGNAL PROVIDER
is nominated bank liable for payment if documents are presented,or is it never liable unless it becomes confirming bank?which condition is true??? y and how banks are nominated?
Role of advising bank : Advising bank means the bank that advises the credit at the request of the issuing bank.
A credit and any amendment may be advised to a beneficiary through an advising bank. an advising bank that is not a confirming bank advises the credit and any amendment without any undertaking to honour or negotiate.
By advising the credit or amendment, the advising bank signifies that it has satisfied itself as to the apparent authenticity of the credit or amendment and that the advice accurately reflects the terms and conditions of the credit or amendment received. Advising bank may utilize the services of another bank ("second advising bank") to advise the credit and any amendment to the bene. by adivising the credit or amendment, the second adivsing bank signifies that it has satisfied itself as to the apparent authenticity of the advice it has received and that the advice accurately reflects the terms and conditions of the credit or amd
If a bank is requested to advise a credit or AMD but cannot satisfy itself as to the apparent authenticity of the credit, the amendment or the advice, it must so inform, without delay, the bank from whihc the instructions appear to have been received.
Nominated bank : means the bank with wich the credit is available or any bank in the case of a credit available with any bank
Unless a nominated bank is the confirming bank, an authorization to honour or negotate does not impose any obligation on that nominiated bank to honor or negotiate, except when expressly agreed to by that nominated bank and so communicated to the bene.
By nominating a bank to accept a adraft or incur a deferred payment undertaking an issuing bank authorizes that nominated bank to prepay or purchase a draft accepted or a deferred payment undertaking incurred b that nominated bank.
Receipt or examination and forwarding of dox bya anominated bank that is not a confirming bak does not make that nominated bank liable to honor or negotiate, nor does it consititue honor or negotiation.
Nominated bank : means the bank with which the credit is available or any bank in the case of a credit available with any bank.
what do you mean by credit available and what is "bene"?
what is difference between "honor" and "negotiate"?
great! u have explained so well .
I have one more question.
Article 6 states credit available with a nominated bank is also available with the issuing bank.My understanding is that though issuing bank has mentioned the negotiating bank ,issuing bank can also negotiate the documents.
Is it correct?
Just a few quick points in rsponse to your query:
To clarify further, if the nominated bank refuses to act under a credit, the complying documents can always be presented to the issuing bank for payment, provided they are presented within the expiry date of the credit.
Issuing bank will never be negotiating bank, and hence cannot negotiate the documents.
Credit will always be available with issuing bank, nominated bank, confirming bank (if any).
Article 6 states credit will be available with issuing bank and Nominated.